American Airlines pilots ratify labor agreement with substantial salary increases

American Airlines pilots have successfully ratified an enhanced labor deal, solidifying an agreement with the airline’s highest-paid work group. This makes American Airlines the second major U.S. airline to secure a new contract.

Under the newly approved contract, the more than 15,000 pilots at American Airlines will receive immediate raises of 21%, with their total compensation increasing by over 46% throughout the four-year duration. This compensation includes 401(k) contributions, as announced by the pilots’ union on Monday.

Previously, a deal between American Airlines and the union fell through after United Airlines and its union reached a more lucrative preliminary agreement. However, American Airlines revised and improved its offer last month.

The ratification of the new contract received overwhelming support from American Airlines’ pilots, with over 72% voting in favor and a 95% turnout, according to the Allied Pilots Association. The agreement also incorporates enhancements in scheduling and benefits.

As the aviation industry currently grapples with a shortage of pilots in the aftermath of the Covid pandemic, pilots have been advocating for better compensation and work regulations.

American Airlines CEO, Robert Isom, expressed his satisfaction with the ratified agreement, stating, “This agreement will immediately enable American Airlines to expand its pilot training capacity to support under-utilized aircraft and future operations, while providing our pilots with greater career advancement opportunities.”

Delta Air Lines pilots also recently ratified a new agreement earlier this year.